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RISK PROFILING QUESTIONNAIRE: ASSESSING ATTITUDE TO RISK INTRODUCTION There are several aspects to investment risk including how investors feel about risk, how much risk investors can afford to or wish to take and the risk of not meeting a particular goal or objective.

Understanding an investor‟s attitude to risk will allow adviser‟s recommendations to be tailored to better meet their needs.

In order to establish an investor’s attitude to risk, please complete this questionnaire

ABOUT THE QUESTIONS The questions are designed to measure risk attitude and risk personality. They are based upon the social science of psychometrics and have been created by Distribution Technology (in association with Oxford Risk, an industry leading psychometric profiling company).

The attitudinal answers will be used as the basis for discussion and agreement regarding an investor‟s final risk profile. Subsequent recommendations will take your answers into account but will not have a direct bearing on any particular products or funds that may be recommended as a result.

INSTRUCTIONS 1. Record answers to all questions. It is important that this is done so honestly – there is no right or wrong answer. Please bear in mind the questions relate to the individual generally, rather than any particular investment that is being considered.

2. The answers to the questionnaire will be used by the adviser to determine an individual’s risk level based on the scoring from the questionnaire and a discussion with you about your attitude to risk, ability to take risk and risk personality.

Please note: The final selected risk profile will be an important factor in which products and funds are recommended (if any). Consideration should be given to the term over which to invest, the importance of the investment with regard to the individual‟s overall financial circumstances, and whether they can afford sustained periods of loss. If they are in any doubt about their risk profile or feel that they have not understood any aspect of this process, they should discuss the matter with the adviser before confirming their risk level.

20 Questions Paper Based Risk Profiler Client and Partner

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HOW DO YOU FEEL ABOUT RISK? CLIENT NAME:

1

Compared to the average person, I would say I take more risks

2

I would be willing to risk a percentage of my income in order to get a good return on an investment

3

To achieve high returns, it is necessary to choose high-risk investments

4

I have been extremely cautious in my past financial investments

5

Even if I experienced a substantial loss on an investment, I would not be put off making risky investments

6

I believe that it is reckless to take financial risks

7

When I'm faced with a financial decision I am generally more concerned about the possible losses than the probable gains

8

I would rather know that I was getting a guaranteed rate of return than be uncertain about my investments

9

Compared to the average person, I take lower financial risks

10

I would rather put my money in a bank account than invest in shares

11

I do not feel comfortable with financial uncertainty

12

If my investment portfolio dropped significantly in value during the first three months, it would not bother me

Strongly Disagree

Disagree

Neither Agree or Disagree

Agree

Strongly Agree

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20 Questions Paper Based Risk Profiler Client and Partner

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13

I would never take a chance with any amount of money

14

I would accept potential losses in order to pursue long-term investment growth

15

I believe that the only way to make money is to take financial risks

16

Taking financial risks is important to me

17

I would be happy investing a large proportion of my income in a high-risk investment

18

I would feel comfortable investing in shares

19

How comfortable do you feel when you take a financial risk?

Strongly Disagree

Disagree

Neither Agree or Disagree

Agree

Strongly Agree

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Not at all comfortable

Slightly comfortable

Moderately comfortable

Comfortable

Very comfortable

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20

Overall, how would you place yourself on the following scale?

Somewhat risk averse

Neither risk averse nor a risk taker

A moderate risk taker

A risk taker

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20 Questions Paper Based Risk Profiler Client and Partner

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PARTNER NAME:

1

Compared to the average person, I would say I take more risks

2

I would be willing to risk a percentage of my income in order to get a good return on an investment

3

To achieve high returns, it is necessary to choose high-risk investments

4

I have been extremely cautious in my past financial investments

5

Even if I experienced a substantial loss on an investment, I would not be put off making risky investments

6

I believe that it is reckless to take financial risks

7

When I'm faced with a financial decision I am generally more concerned about the possible losses than the probable gains

8

I would rather know that I was getting a guaranteed rate of return than be uncertain about my investments

9

Compared to the average person, I take lower financial risks

10

I would rather put my money in a bank account than invest in shares

11

I do not feel comfortable with financial uncertainty

12

If my investment portfolio dropped significantly in value during the first three months, it would not bother me

Strongly Disagree

Disagree

Neither Agree or Disagree

Agree

Strongly Agree

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Strongly Disagree

Disagree

Neither Agree or Disagree

Agree

Strongly Agree

20 Questions Paper Based Risk Profiler Client and Partner

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13

I would never take a chance with any amount of money

14

I would accept potential losses in order to pursue long-term investment growth

15

I believe that the only way to make money is to take financial risks

16

Taking financial risks is important to me

17

I would be happy investing a large proportion of my income in a high-risk investment

18

I would feel comfortable investing in shares

19

How comfortable do you feel when you take a financial risk?

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     

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Not at all comfortable

Slightly comfortable

Moderately comfortable

Comfortable

Very comfortable

     Risk averse

20

Overall, how would you place yourself on the following scale?

Somewhat risk averse

Neither risk averse nor a risk taker

A moderate risk taker

A risk taker

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20 Questions Paper Based Risk Profiler Client and Partner

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HOW ABLE ARE YOU TO TAKE RISK? The following questions are not part of the psychometric attitude assessment and have no direct impact on the questionnaire results or selected risk level.

However, the answers will help you and your adviser identify areas that should also be considered when assessing suitability and choosing a risk level.

Question

Response (choose one answer for each question)

1.

When do you intend to use the invested money?

Short term (0 - 5 years)

Medium term (5 - 10 years)

Long term (10+ years)

No fixed term 2.

How much of this investment could you stand to lose without having a significant impact on your future standard of living?

None or very limited losses (0 - 5%)

Small / medium losses could be tolerated Large losses would have a low impact on future lifestyle 3.

If you needed sudden access to a lump sum, how likely is it that you would need to encash this investment?

I have other savings and investments which I can use for most needs I may need this investment if I needed access to a significant amount of money quickly I would almost certainly need access to this investment

20 Questions Paper Based Risk Profiler Client and Partner

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TERMS & CONDITIONS OF USE

1. PARTIES: 1.1

In this Terms and Conditions of Use Agreement, "we", "our" and "us" means <Company Details to be Entered>

1.2

"You" means the Adviser using the Services;

1.3

This Agreement sets out the terms on which <Company Name> (“Company”) will provide the Services to you as an Adviser.

2. DEFINITIONS 2.1

In this Agreement, unless inconsistent with the context or otherwise specified, the following expressions shall have the following meanings: "Act"

The Data Protection Act 1998 as replaced, re-enacted, consolidated, extended, revised or amended from time to time, all subordinate legislation enacted there under and any guidance issued by the Information Commissioner or any successor;

"Adviser"

The authorised individual or firm identified to the Customer to the extent necessary and to the Regulatory Authorities as the provider of any Financial Advice.

"Applicable Regulations"

The Financial Services and Markets Act 2000, the Money Laundering Regulations 2007 (and all other legislation relating to the handling of the proceeds of crime together with the Guidance Notes for the Financial Sector issued by the Joint Steering Group and any other relevant regulations or guidance issued by any other Regulatory Authority or industry body), the Act, rules promulgated by any Regulatory Authority and any other law, regulation or code applicable in the context to the person concerned;

"Customer"

Any person who is a purchaser or potential purchaser of a Financial Product or financial planning service via the Adviser.

"Customer Data"

Any information held by you or <Company Name> or likely to come into your possession or that of <Company Name> relating to Customers which would fall within the definition of Personal Data contained in the Act;

“Distribution Technology”

Distribution Technology Limited a company registered under number 04741529 whose registered office is at Sovereign House, Vastern Road, Reading, Berkshire, RG1 8BT

"Financial Advice"

Advice provided by Advisers to Customers regarding the cost, value, and suitability of the purchase of Financial Products, and any other activity regulated pursuant to the Financial Services and Markets Act 2000;

"Financial Products"

Financial services and products offered for sale, including any such service or product regulated pursuant to the Financial Services and Markets Act 2000;

"Intellectual Property Rights"

All intellectual and industrial property rights anywhere in the world, including, without limitation, any technical information and documentation, invention, patent, design or utility model rights, any copyright and trade marks, service marks, database rights, topography rights, commercial or confidential information, know how or trade secrets, and any other rights of a similar nature whether or not any of the same are registered, and the right to apply for any of them;

"Organisation"

The regulated firm to which an Adviser belongs;

"Regulatory Authorities"

The Financial Services Authority, and any other regulatory authority which, from time to time, has responsibility for regulating Advisers and/or any of their services or products; and

"Services"

The service supplied by us is a paper based risk rating assessment tool to undertake risk profiling clients, solely for the purposes of aiding the recommendation of investment strategies available via the Distribution Technology Investment Planner and / or Retirement Planner applications within the Distribution Technology Dynamic Point of Sale software.

1.1.1.

The service provides information gathering, education, profiling and analysis of individuals’ financial circumstances including without limitation, documentation, information, formatted files, algorithms, data, and the "look and feel" of any of the foregoing, (whether in printed or electronic form) and all other material as well as all updates, enhancements and modifications thereof.

3. ACCESS TO THE SERVICES 3.1

Authorised advisers are permitted to print and complete this document in paper form; Access to or use of the Services is strictly limited to Advisers who have been provided access by <Company Name> to the Distribution Technology Investment Planner and / or Retirement Planner applications within the Distribution Technology Dynamic Point of Sale software and who access the Services solely within the UK. Where such access by <Company Name> is withdrawn or suspended, or where Distribution Technology suspends access to <Company Name> all rights granted to you under this Agreement immediately cease.

3.2

By using the Services, you warrant that you have the authority to commit you and your Organisation to this Agreement and that you consent to be bound by the terms and conditions of this Agreement. If you do not wish to be bound by these terms and conditions, do not use the Services.

3.3

As from the acceptance of this Agreement you may use the Services, subject to suspension and/or termination as set out in this Agreement.

3.4

Access to the Services is limited to printing and completion of the risk profiling tool in paper form solely for use with the Distribution Technology Investment Planner and / or Retirement Planner applications within the Distribution Technology Dynamic Point of Sale software, and you are not permitted to use the intellectual property within this document in any other documentation without the express written permission of Distribution Technology.

3.5

Advisers may access the Services solely to provide information, education and analysis for their Customers.

4. NOT FINANCIAL ADVICE 4.1

You agree and acknowledge that the provision of the Services by Distribution Technology shall not be construed or interpreted to mean the provision of Financial Advice from us to Advisers or Customers.

4.2

Advisers are responsible for all Financial Advice provided to Customers. It is an Adviser‟s responsibility to ensure that the Services provided by us meet their obligations as a provider of Financial Advice. <Company Name> and / or Distribution Technology will not be responsible to the Customer, Adviser or to the Regulatory Authorities for any Financial Advice provided.

4.3

As an Adviser you warrant that you are duly authorised in accordance with all Applicable Regulations to provide services (including the giving of Financial Advice) to Customers and shall, in performing your obligations under this Agreement, comply with all Applicable Regulations. Further, you will take all appropriate steps to obtain any further regulatory approvals that may be required from time to time.

4.4

You acknowledge that Distribution Technology is not authorised by the Financial Services Authority to provide Financial Advice.

5. SERVICE PROVISION 5.1

Services are provided on an „as is‟ basis with all faults and no guarantee of satisfactory quality, completeness or accuracy. We disclaim to the fullest extent allowed by law any and all warranties express or implied, including but not limited to the quality, fitness for purpose, accuracy or completeness of the Services.

5.2

<Company Name> will use reasonable skill and care to provide the Services but does not guarantee any service levels or that any given error or failure will be corrected in any given timeframe or at all.

5.3

We reserve the right at any time and from time to time to amend, improve, correct, discontinue, temporarily or permanently suspend the Services (or any part thereof) with or without notice and you agree that neither we nor Distribution Technology will be liable to you or any third party for any such modification, suspension or discontinuance.

5.4

You shall: (a) not attempt to obtain access to copy, alter, reverse-engineer, decompile, translate, disassemble or separate the components of the Services ; (b) ensure that the Customer Data will not contain anything which is libellous, indecent, obscene or defamatory or otherwise unlawful; (c) perform your obligations under this Agreement with reasonable care and skill; (d) except as is set out in this Agreement or as is otherwise permitted by law you are strictly forbidden from using the Services in any circumstances, and without limitation, shall not sub-contract, sub-license or resell the Services.

6. CUSTOMER DATA 6.1

To the extent required by law, <Company Name> warrants that it has, and will continue to maintain, a valid and up to date and accurate notification to the Office of the Information Commissioner (or any successor) under the Act to process Customer Data.

6.2

<Company Name> shall acquire no rights or interest in the Customer Data other than as expressly set out elsewhere in this Agreement.

6.3

You warrant and represent that the Customer Data shall be used only for the purpose of providing the Services (other than as expressly set out elsewhere in this agreement or in our Privacy Agreement), and the Customer Data shall not be used for any other purpose, and shall not be shared, disclosed, sold, or made available to any third party without first receiving the written consent of the data subject.

6.4

On termination of this Agreement <Company Name> shall be permitted to retain and use an archival copy of the Customer Data in order to, and solely to the extent necessary to: (i) comply with any laws, rules, or regulations governing the matters set forth in this Agreement, or (ii) defend against any claim arising from the provision of the Services.

6.5

For the purposes of this Clause 6 "processing" shall have the meaning given to it in the Act and process shall be construed accordingly.

6.6

You are responsible for all risks of loss of, corruption of or damage to Customer Data except for loss, corruption or damage caused by the negligence of <Company Name> .

6.7

You warrant to <Company Name> that you have (where required by law) notified under the Act and will maintain such notification for the duration of this Agreement. Further: (a) you will protect such of the Customer Data as constitutes Personal Data in accordance with the provisions and principles of the Act. (b) you will indemnify <Company Name> and Distribution Technology against all claims and proceedings and all liability, loss, costs and expenses incurred in connection therewith made or brought by any person in respect of any loss, damage or distress caused to that person by breach of the provisions of this clause or the Act by you the Adviser, your staff or agents.

7. INTELLECTUAL PROPERTY AND COPYRIGHT 7.1

Copyright and all other Intellectual Property Rights of whatsoever nature anywhere in the world in the Services shall remain vested in Distribution Technology or <Company Name> or such other third party provider as provides content or information within the Services. Formatting of the documentation is subject to approval by Distribution Technology in terms of layout, font and colour. The text relating to the questions, risk level mapping and risk level description are to remain unchanged.

20 Questions Paper Based Risk Profiler Client and Partner

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7.2

The Services may include third party information. A reasonable number of copies of this information may be used and printed by Advisers in their normal course of business or by an Adviserâ&#x20AC;&#x;s Customer in relation to an analysis of their own finances however, they are not permitted to: (a) manipulate the information other than enabled by the Services; (b) use any portion of the information as source material or factual content to create original content for publication; (c) re-distribute any information to any third party (with the exception of Advisers to their Customers); (d) reverse engineer the Services or access the information except via the Services.

7.3

<Company Name> shall grant to you a non-exclusive right to access the Services for the term. Said right of access shall be subject to you fulfilling, and continuing to fulfil all obligations set forth in these terms and conditions. The software described in this document is furnished under a separate agreement and may be used only in accordance with the terms of that agreement.

7.4

The content and information within the risk assessment tool is subject to change and may be updated from time to time.

7.5

Distribution Technology may have patents or pending patent applications, trademarks, copyrights or other intellectual property rights covering subject matter in this document. The furnishing of this document does not give you any license to these patents, trademarks, copyrights or other intellectual property rights except as expressly provided in any written license agreement from Distribution Technology. All other companies and product names are trademarks or registered trademarks of their respective holders.

8. TERM AND TERMINATION 9.1

This Agreement shall continue from date on which access is granted until terminated either: (a) through cancellation by you or by (b) <Company Name> who may terminate this Agreement at any time with immediate effect by notice in writing.

9.2

The rights and obligations of the parties which expressly or by implication are intended to continue after termination of this Agreement shall survive and continue to bind the parties, their successors and assigns.

10. LIABILITY AND INDEMNITY 10.1 Except as is set out in Clause 10.4 below, <Company Name> shall not be responsible to you in connection with this Agreement in contract, tort (including negligence) or otherwise for: (a) any and all losses, claims, damages, costs, charges, expenses, liabilities, demands, awards, proceedings and actions (including those of any third parties) ("Losses") which you (or that third party) may sustain or incur except for those arising out of the negligence, wilful default or fraud of us, our officers, employees or agents (b) loss of profit, business, revenue or anticipated savings; or (c) indirect or consequential damages except where such losses arise as a result of fraud on the part of <Company Name> or any of its employees, agents or sub-contractors.

10.2 You agree to fully indemnify and keep us <Company Name> , and each of our respective employees agents and affiliates, fully indemnified from and against all actions, liabilities, claims, actions, expenses (including legal fees) whatsoever arising from the information you have provided to us and your use or misuse of the Services.

10.3 Advisers will indemnify <Company Name> and Distribution Technology against any losses, payments and/or claims, brought against <Company Name> and/or Distribution Technology arising from the provision of Financial Products or Financial Advice to Customers, or as a result of a breach by you of this Agreement and any of the Applicable Regulations in relation to the provision of the Services.

10.4 Notwithstanding any provision to the contrary within this Agreement neither we nor Distribution Technology makes any attempt to exclude or limit any liability for death or personal injury that is caused by our or its negligence.

10.5 You agree that, except to the extent prohibited by law, neither Distribution Technology nor <Company Name> shall be liable to you in connection with this agreement in tort or otherwise.

11. ENTIRE AGREEMENT 11.1 This Agreement (together with the documents referred to herein) contains the entire agreement and understanding of the parties and supersedes all prior agreements, understandings or arrangements (both oral and written) relating to the subject matter of this Agreement.

12. NATURE OF RELATIONSHIP 12.1 Nothing in this Agreement shall create or be deemed to create a partnership between you and <Company Name> and neither shall have authority or power to bind the other or to contract in the name of or create liability against the other in any way or for any purpose save as expressly authorised by the other from time to time. Furthermore, it is agreed and acknowledged that neither party shall have the power to bind Distribution Technology to any provision of this Agreement and that accordingly, and for the avoidance of doubt, Distribution Technology is not a party to this Agreement.

13. SEVERABILITY 13.1 In the event that the whole or any part of the terms, conditions or provisions contained in this Agreement shall be determined invalid, unlawful or unenforceable to any extent then such term, condition or provision or part thereof shall be severed from the remaining terms, conditions and provisions which shall continue to be valid and enforceable to the fullest extent permitted by law.

14. WAIVER 14.1 Any waiver or a breach of any of the terms of this Agreement or any default hereunder shall not be deemed a waiver of any subsequent breach or default and shall in no way affect the other terms of this Agreement.

14.2 No failure or delay in exercising any right, remedy, power or privilege of any party under this Agreement and no course of dealing between the parties shall be construed or operate as a waiver thereof, nor shall any single or partial exercise of any right, remedy, power or privilege preclude any other or further exercise therefore or the exercise of any other right, remedy, power or privilege. The rights and remedies provided by this Agreement are cumulative and are not exclusive of any rights or remedies provided by law.

15. NOTICES 15.1 Any notice or other communication to be given under this Agreement should be sent in writing to <Company Name> at <Company Office>.

16. EXCLUSION OF THIRD PARTY RIGHTS Unless expressly provided in this Agreement, no term of this Agreement is enforceable pursuant to the Contracts (Rights of Third Parties) Act 1999 by any person who is not a party to it. Distribution Technology is expressly permitted to benefit from the provisions of this Agreement pursuant to that Act. 17. GOVERNING LAW 17.1 This Agreement shall be governed by and construed in accordance with the laws of England and Wales.

17.2 The parties hereto hereby submit to the exclusive jurisdiction of the Courts of England and Wales in relation to any claim, dispute or difference that may arise hereunder.

www.distribution-technology.com 20 Questions Paper Based Risk Profiler Client and Partner Version Document reference Issue date

Version 2.0 ATR20QCPv1.0 18/05/2011

20 Questions Paper Based Risk Profiler Client and Partner

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